Silver Surges Over 5% on Treasury's Bond Buyback Plans

The U.S. Treasury Department has announced plans to double buybacks of long-dated government bonds starting September 9, which has led to a sharp decline in the dollar and a subsequent surge in silver prices.

Silver prices jumped over 5% after the announcement, with XAG/USD trading at $66.58. This move is supported by technical indicators, including the pair's position above its 20- and 50-day moving averages, indicating bullish momentum in the short and medium term.

However, despite this strong upward momentum, silver remains under the 200-day average and broader long-term resistance at $74.74. This mixed signal suggests that while there is buy momentum, there may be some caution needed in the short term.